And not recover the money paid?
Did you buy a property off plan? And not recover the money paid??
Or do you know anyone in this situation???
PLEASE let your friends, family and loved ones know about this unique and positive resolution – this High Court resolution could make all the difference.
The Supreme Court has recently found Banco Popular (Banco Pastor), SGRCV and BBVA responsible to pay the money back to buyers of off plan resorts for not issuing the compulsory individual bank guarantees
Buyers who received a Bank Guarantee or Insurance Policy to cover the payments made towards their property or even those who never had it due to the developer or Bank failing to comply with the Law might be in luck today due to a very well expected Judgment from the Supreme Court of Spain, which has ordered these entities to pay back to the buyers of off plan properties, all the money they invested, plus legal interests from the time they made the payments.
The imperative and inalienable rules contained in Law 57/68 are compulsory to developers, banks and insurance companies. The breach of these obligations by professionals -developers and financial institutions- can never be to the detriment of the buyer. This Law 57/68 requires Banks to guarantee all deposited amounts but its wording was interpreted in different manners.
Getting your money back after buying on off-plan resorts
However, now the Supreme Court has made clear that:
1) if other buyers of the same resort received individual bank guarantees then all buyers should have received them and the fact of not having an individual bank guarantee would not stop them from claiming the money to the bank.
2) if the amount covered by the bank guarantee is lower than the money actually paid to the developer the bank should pay back the full paid amount plus interests.
3) if there is not an individual bank guarantee but there is a general bank guarantee this should cover all buyers as if they would have received an individual bank guarantee.
4) there is no need to sue the developer before suing the bank.
Legal ruling is good news if you bought off-plan property in Spain
One of the main articles of the 57/1968 Law is art. 1: “The bank receiving up front payments in the developer special account must request the existence of those Bank Guarantees under its own responsibility”.
If you bought a property off plan, you paid a deposit down or even made stage payments, whether you received the compulsory individual bank guarantee or not, you might be interested to learn more about your rights.
This is only general information. It is recommended that all legal matters pertaining to specific cases are referred to a lawyer for advice, guidance and execution. Pellicer & Heredia Lawyers will be pleased to help you with a study of your case. For more information and free advice, call us on +34 965 480737 – 606056282 or e-mail [email protected] .
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